Endurance Specialty Seeks Canadian Branch Approval

Summary#

Endurance Specialty Insurance Ltd. says it will apply to open a Canadian branch and to insure certain types of risks in Canada. The company plans to file the application with the Superintendent of Financial Institutions on or after March 17, 2024 under section 574 of the Insurance Companies Act. The notice was dated February 17, 2024 and published March 2, 2024.

What it does#

• Asks federal approval for a Canadian branch of Endurance Specialty Insurance Ltd. to operate in Canada.
• If approved, the company would be allowed to insure risks in the following classes:
  • property
  • liability
  • boiler and machinery
  • fidelity
  • automobile
  • marine
  • surety
  • aircraft
• The insurer would use the English name Endurance Specialty Insurance Ltd. and the French name Assurances spécialisées Endurance ltée in Canada.
• The company’s head office is in Hamilton, Bermuda, and it plans a Canadian chief agency in Toronto, Ontario.

Who's affected#

• Businesses and individuals that buy insurance in the listed classes (property, liability, automobile, marine, etc.).
• Insurance brokers and agents who place commercial and specialty risks.
• Competing insurers and the broader commercial insurance market in Canada.
• It is unclear from the notice when or whether the change will take effect; the application still needs approval.

Why it matters#

• This is a step toward a new insurer entering the Canadian market for several commercial and specialty lines. That can increase capacity and competition for those coverages.
• The company’s ultimate parent is Sompo Holdings, Inc., a firm incorporated in Japan, which may matter to customers and brokers interested in financial backing and global network.
• Because this is an application, not a final approval, immediate changes to prices or availability are not certain.